Slide 1: Consolidated Results of the 4th Quarter FY2009 / Full-Year 2009 & Mid-Term Business Plan
SUMIDA CORPORATION Consolidated Results of the 4th Quarter FY2009 / Full-Year 2009 & Mid-Term Business Plan FY2010 - 2012 19th February 2010 CEO Shigeyuki Yawata CFO Saburo Matsuda Copyright © 2010 SUMIDA CORPORATION. All Rights Reserved. 1
Slide 2: Highlights of Today
Highlights of Today Performance in FY2009 Consolidated Results of the 4th Quarter FY2009 and Full-Year 2009 - Performance in the 1st and 2nd Half-Year – Return to the Growth Path New Mid-Term Business Plan (2010 – 2012) Recover and regain the peak level performance of FY2007 Plan for FY2010 Ge
Slide 3: Business Performance in the 4th Quarter FY2009 & Full-Year 2009
Business Performance in the 4th Quarter FY2009 & Full-Year 2009 Copyright © 2010 SUMIDA CORPORATION. All Rights Reserved. 3
Slide 4: Consolidated Results of the 4th Quarter FY2009 / Full-Year 2009
Consolidated Results of the 4th Quarter FY2009 / Full-Year 2009 (Unit: Million JPY) Q4-2009 Q4-2008 Difference FY2009 FY2008 Difference Net Sales 12,684 10,719 118.4% 43,653 55,734 79.3% Operating Income 869 (745) － (233) 2,167 － Operating Income 6.9% － － － 3.9% － Ratio Ordinary Income 787 (2,340) －
Slide 5: Consolidated Results: Business Performance FY2009
Consolidated Results of the 4th Quarter FY2009 / Full-Year 2009: Business Performance FY2009 (in million JPY) Q1 Q2 Q3 Q4 FY2009 Net Sales 8,579 10,066 12,324 12,684 43,653 18,645 25,008 Operating (1,345) (377) 620 869 (233) Income (15.7%) (3.7%) 5.0% (6.9%) (0.5%) (1,722) 1,489 (9.2%) (6.0%) Ordina
Slide 6: Quarterly Net Sales FY2009 by Region
Quarterly Net Sales FY2009 by Region (Unit: Million JPY) Q1 Q2 Q3 Q4 FY2009 FY2008 Difference 8,777 Japan 1,423 1,593 2,446 2,579 8,041 (8.4%) Q average 2,194 Hong 9,562 Kong / 1,194 1,684 1,797 1,695 6,370 (33.4%) Q average 2,390 China 3,611 ASEAN 831 1,220 1,460 1,296 4,807 33.1% Q average 903 Tai
Slide 7: Quarterly Net Sales by Business Segment in FY2009
Quarterly Net Sales by Business Segment in FY2009 (Unit: Million JPY) FY2009 Full Breakeven Q1 Q2 Q3 Q4 Year Sales (quarterly) 2009 Asia-Pacific 4,644 5,721 6,798 6,950 24,114 5,250 Business EU Business 3,247 3,433 3,996 4,424 15,092 3,750 Environment/ 688 912 1,530 1,317 4,447 1,350 Energy Business
Slide 8: Quarterly Operating Income by Business Segment in FY2009
Quarterly Operating Income by Business Segment in FY 2009 (Unit: Million JPY) Full Year Q1 Q2 Q3 Q4 2009 Net Sales 4,644 5,721 6,798 6,951 24,114 Asia-Pacific Business Operating Income (174) 426 1,073 1,306 2,631 Net Sales 3,247 3,433 3,996 4,416 15,092 EU Business Operating Income (481) (319) 29 43
Slide 9: Non-operating Gain / Loss
Non - operating Gain / Loss (Unit: Million JPY) FY2009 Full Year Q1 Q2 Q3 Q4 2009 Interest (125) (170) (160) (153) (608) expenses Derivatives 316 (136) (127) 137 190 Foreign 50 21 (205) (12) (146) exchange Copyright © 2010 SUMIDA CORPORATION. All Rights Reserved. 9
Slide 10: Extraordinary Gain/Loss
Extraordinary Gain/Loss (Unit: Million JPY) Full year Q1+Q2+Q3 Q4 2009 Expenses for Structural Improvement in Japan / other Asian (180) (292) (472) locations Adjusted Loss on Sale of Business (400) (28) (428) Expenses for Structural (130) (234) (364) Improvement in Europe Expenses for Struct
Slide 11: Consolidated Financial Statement
Consolidated Financial Statement (Unit: Million JPY) Impact on Retained Impact on the Consolidated P/L Earnings at the beginning Statement of the year Goodwill (1,629) (311) R&D (156) (160) Others (23) (8) (1,808) (479) FY2000～ Foreign Currency Translation Adjustment Account (Unrealized Loss) Impact
Slide 12: Cash Flow
Cash Flow FY2008 FY2009 Difference Cash flow from operating 2,015 1,888 (127) activities Cash flow from investing (1,687) (129) 1,558 activities Cash flow from financing 2,717 (3,530) (6,247) activities Cash and cash equivalents, end 10,502 9,063 (1,439) of year Copyright © 2010 SUMIDA CORPORATION.
Slide 13: Summary of the Business Performance FY2009 & New Mid-Term Business Plan
Summary of the Business Performance FY2009 & New Mid-Term Business Plan (FY2010 – 2012) - Aiming to Regain FY2007’s Performance - Copyright © 2010 SUMIDA CORPORATION. All Rights Reserved. 13
Slide 14: Summary of FY2009: Consolidated Net Sales & Operating Income Ratio
Summary of FY2009: Performance of Consolidated Net Sales & Operating Income Ratio 20,000 10.0% (in Million JPY) 6.9% 6.8% 5.0% 15,000 =100 0.0% = 80 10,000 -5.0% = 50 -10.0% 5,000 -15.0% 0 -20.0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 07 08 09 Net Net sales: sales: Slump Slump in in sales sales to
Slide 15: Summary of FY2009: Measures implemented in changing business environment
Summary of FY2009: Measures implemented in the drastically changing business environment Measures Measures implemented implemented in in FY2009 FY2009 Implementation Implementation of of ‘Global ‘Global One One SUMIDA’ SUMIDA’ -- Integration Integration of of business business operations operation
Slide 16: Mid-Term Business Plan (FY2010 – 2012)
Mid-Term Business Plan (FY2010 – 2012) Trend and the future Plan of Net sales 2007 2012 Base for future growth was laid in FY2009 2008 2011 2010 2009 Correspond to the New Mid-Term world economy crisis Business Plan FY2010- 2012 Review of the former Mid-Term Business Plan FY2008-2010 Copyright © 201
Slide 17: Financial Target (FY2010 - 2012)
Financial Target (FY2010 - 2012) 1 2012 Over 70.2B JPY Regain FY2007’s (target) Performance 3 Net Over 3B JPY 2009 4.4B JPY Operating Income (actual) Over 4.7B JPY 2 (Operating Income ratio 6.7%) FY2009 FY2012 Copyright © 2010 SUMIDA CORPORATION. All Rights Reserved. 17
Slide 18: Financial Target (FY2010 - 2012)
Financial Target (FY2010 - 2012) Sumida’s aim is to achieve the following consolidated financial targets in FY2012: ① Net sales: 70.2B JPY ② Operating income: 4.7B JPY (Operating income ratio: 6.7%) ③ Net income: 3B JPY Sumida achieved the peak performance in FY2007, both in net sales and net in
Slide 19: New Mid-Term Business Plan (FY2010 - 2012)
New Mid-Term Business Plan (FY2010 - 2012) ～ Return to the growth track ~ Long-Term Vision One & Only Financial targets for 2010-12 – regain 2007’s performance Basic Growth Triple Ex Business unit strategies Strategy Exceptional Execution Extraordinary Technology Profitable growth through Exemplary
Slide 20: New Mid-Term Business Plan: Global One Sumida
New Mid-Term Business Plan (FY2010 – 2012) Greater integration and agility through Global One Sumida Achieve Become a Using business/functional units to better sustainable address market needs and opportunities Global Excellent profitable Company which growth, Sumida Silk Road ensures a Accelerate i
Slide 21: Sources for Growth – 3 Factors
Sources for Growth – 3 Factors Sales 70.2B JPY • Enter new markets with potential for profitable New markets growth e.g. alternative energy, healthcare Gain in market share Sales 43.6B JPY Growth with markets • Increase sales of Asia- originated products in Europe and vice-versa • New products • Rid
Slide 22: Market Growth Forecast (2009-2012)
Market Growth Forecast (2009-2012) Sales 70.2B JPY Growth Rate* Others (Industrial) Sales 46.3B JPY Others (Industrial) 10-20% Automotive Automotive 5-10% Sales Composition Consumer Consumer Electronics Electronics 6-16% FY2009 Result FY2012 Forecast * Growth rates were calculated by Sumida based on
Slide 23: High Priority Segments
Consumer Electronics : Available Market and Growth Rate of Coils Products (2009-2012) Annual Growth Rate (%) 20% Smart Notebook PC* Phone High LCD TV 10% DSC Priority HDD Segments STB PDP TV FY2012 DVD Coil Player / Rec. 0% Market DVD Drive Size for PC 10.0 20.0 30.0 40.0 JPY B Desk Top PC Home game
Slide 24: Consumer Electronics
Consumer Electronics － Target Products of Sumida (2009-2012) High Priority Sumida Product Example Segments LCD TV Transformers (flux transformer) Notebook PC Power inductors (iron core) Power inductors Smart Phone (for larger screen, multi-function phones) Digital Still Power inductors (coils for st
Slide 25: Automotive
Automotive Market Market leading leading products products Worldwide sales cars -- ABS ABS coils coils -- Xenon Xenon igniters igniters [Unit: million cars] -- keyless keyless antennas antennas 2008 2009 2010 2018 Needed Needed inin all all types types ofof vehicles vehicles Product Product developm
Slide 26: Industrial (others)
Industrial (others) Entry into potential high growth markets Calculated approach to identify and capture future “cash cows” Alternative Alternative energy energy (renewables) (renewables) Medical Medical technology technology RFID RFID technology technology sector sector -- Developed Developed econ
Slide 27: Manufacturing / Logistics Network
Manufacturing / Logistics Network － Further cost efficiency and response Expand Expand & & optimise optimise logistics logistics network network -- creating creating regional regional logistics logistics hubs hubs Expand Expand Silk Silk Road Road strategy strategy -- more more production production
Slide 28: Silk Road Strategy: Manufacturing Hubs
Silk Road Strategy: Manufacturing Hubs Hub and satellite factory manufacturing structure Satellite Satellite Hub Maintain and Pursue low cost expand Factory manufacturing manufacturing capacity Satellite Satellite 1) Manufacturing structure in Asia a. South China manufacturing site in Guangzhou Chin
Slide 29: Consolidated Business Forecast for FY2010: Target 5-3-2-100
Consolidated Business Forecast for FY2010 Target “5-3-2-100” (Assumption: US$1=JPY90, €1＝JPY127) (Unit: Millions of yen) FY2010 FY2009 Comparison Forecast Results Amount % Increase by Net Sales 50,000 43,653 6,340 14.5% Operating Income 3,000 (233) 3,233 - Operating Income Ratio 6.0% - - - Ordinary
Slide 30: Consolidated Business Forecast for FY2010 by Business Segment
Consolidated Business Forecast for FY2010 Forecast by Business Segment (Assumption: US$1=JPY90, €1＝JPY127) (Unit: Millions of yen) Asia/Pacific Environment EU HQ /Energy Total Business Business expense Business Net Sales 25,700 18,080 6,220 50,000 24,114 15,092 4,447 43,653 year-on-year Increase by
Slide 31: Trend of CAPEX and R&D Expense
Trend of CAPEX and R&D Expense Unit: Millions of yen CAPEX 5,000 4,000 3,000 2,000 1,000 0 2007 2008 2009 2010 2011 2012 (Plan) (Plan) (Plan) CAPEX was reduced for FY2009, but it will be increased from FY2010 onwards Plan to maintain at FY2008 level in FY2012 (due to establishment of C-Lab, CAPEX
Slide 32: Dividend Policy
Dividend Policy Dividend according to Stable dividend business performance Balance 1. Target annual dividend amount Consolidated Net Income (Forecast) × Dividend payout ration 25～30% ⇒ Target annual dividend (Minimum amount is however 20 JPY or more) 2. Year end adjustment Target annual dividend ＋ Y
Slide 33: End of the Report
End of the Report Disclaimer The present slides are provided only to serve the purpose of disclosing information in your evaluation of the Company. Final decision on investments or similar decision is left to your absolute discretion. The Company disclaims responsibility or liability for any or all